This acquisition was initially announced on July 31, 2014 in a press release entitled "Enterprise Group Announces LOI to Acquire Oilfield Site Services Company in Fort St. John, BC."

The final purchase price for the acquisition will be $13.5 million, which represents approximately a 3.3 multiple of Westar’s EBITDA for the twelve-month period ended August 31, 2014. The purchase price will be satisfied through a combination of $10.0 million in cash, $2.0 million in Enterprise shares (2.5 million shares at a price of $.80 per share), and $1.5 million in vendor take-back financing, which will be paid over the next two years.

Westar is a highly-regarded full-service oilfield site infrastructure company that fulfills multiple equipment rental needs for a variety of oil and gas customers. This acquisition expedites Enterprise’s plans to be operating three of its subsidiaries in Fort St. John by the conclusion of 2014. Westar’s owner has also agreed to sign a five-year management agreement with the Company.

During the twelve-month period ended August 31, 2014, Westar generated revenues of approximately $8.7 million and EBITDA of approximately $4.1 million. Enterprise believes that synergies between Westar and the Company’s existing subsidiaries will allow for both a rapid integration of this new business and the creation of significant operating efficiencies.

Westar’s equipment fleet currently consists of nearly 400 owned pieces. Enterprise plans to devote approximately $3.0 million towards further expansion of this fleet.

"We are very pleased to complete our acquisition of Westar, which further establishes Enterprise’s position as a central player within Western Canada’s oilfield service industry," stated Leonard Jaroszuk, the Company’s President and Chief Executive Officer. "Westar is in many ways similar Hart Oilfield Services, which has proven to be a major contributor to our business since its acquisition in January of 2014. Since that point, Hart has not only generated significant top-line growth, but also created of numerous cost-saving efficiencies. We anticipate that Westar will provide us with similar benefits, in addition to facilitating several new major client relationships. We will seek to both realize this benefits and cement these relationships as soon as possible by rapidly integrating this new business."

"Westar also provides Enterprise with a strong foothold in the Fort St. John region, the centre of Western Canada’s burgeoning LNG industry," concluded Mr. Jaroszuk. "This acquisition provides us with a base of operations in Fort St. John, and we intend to further develop this base by opening local offices for three of our other subsidiaries by the conclusion of this year. As we have detailed in the past, the second half of 2014 is a very promising period for our business. The closing of this acquisition, the completion of our 2014 capital program, and our recent reception of Western Canada’s first Direct Pipe System will all aid in our ability to deliver upon that promise."

Increased Finance Facility

Enterprise also announced that it has accepted a term sheet presented by PNC Bank Canada Branch to increase the Company’s current senior secured finance facility to $45.0 million. This facility, will carry an interest rate of prime plus 1.5%, was previously increased from $20.0 million to $35.0 million in November of 2013.